Find Cheaper New Providence Auto Insurance

Finding lower premiums on New Providence auto insurance is challenging for consumers new to buying insurance online. You have so many options that it can easily become a challenge to compare prices in New Providence.

It's important to compare rates before your policy renews since insurance rates are constantly changing. Even if you got the best price a few years ago a different company probably has better rates today. Ignore everything you know about auto insurance because I'm going to let you in on the secrets to the only way to buy cheaper auto insurance.

Take advantage of discounts

Companies that sell car insurance don't list every available discount in an easy-to-find place, so we took the time to find some of the best known and the harder-to-find savings tricks you should be using.

Passive Restraints and Air Bags - Vehicles with factory air bags can get savings of 20% or more.
Employee of Federal Government - Active or retired federal employment can save as much as 8% with certain companies.
Anti-theft Discount - Cars that have factory anti-theft systems can help prevent theft and therefore earn up to a 10% discount.
Low Mileage - Driving fewer miles can earn discounted rates on garaged vehicles.
Payment Discounts - If you pay your entire premium ahead of time instead of monthly or quarterly installments you may reduce your total bill.
Life Insurance - Companies who offer life insurance give lower rates if you buy a life insurance policy as well.

As a disclaimer on discounts, most discounts do not apply to the entire cost. Most cut the price of certain insurance coverages like medical payments or collision. Even though it may seem like you can get free auto insurance, auto insurance companies aren't that generous.

You have some control over your rates

Smart consumers have a good feel for the different types of things that go into determining auto insurance rates. Understanding what impacts premium levels enables informed choices that can help you get lower auto insurance prices.

How credit affects auto insurance rates - Your credit score is a huge factor in your rate calculation. So if your credit is lower than you'd like, you could potentially save money when insuring your by repairing your credit. Drivers who have high credit ratings tend to be better drivers and file fewer claims than drivers who have poor credit.
Too many auto insurance claims drive up costs - Insurance companies in Pennsylvania award better rates to insureds who are claim-free. If you tend to file frequent claims, you can expect either higher rates or even cancellation. Auto insurance is intended to be relied upon for major claims that would cause financial hardship.
Consolidate policies to earn discounts - Most insurers give discounts to people who carry more than one policy. It's known as a multi-policy discount. This can amount to five, ten or even twenty percent. Even if you're getting this discount it's in your best interest to compare other company rates to ensure the best deal. You may still be able to find better rates by insuring with multiple companies.
High crash test scores lower rates - Cars with high safety ratings can get you lower premiums. Safer cars reduce injuries and better occupant protection translates into fewer and smaller insurance claims and lower rates for you.
Car features impact rates - Driving a car with anti-theft technology or alarm system can save you a little every year. Anti-theft features like tamper alarm systems, vehicle immobilizer technology and General Motors OnStar all hinder car theft.
Drive less and save money - The more miles you rack up on your car every year the higher your rates will be. Most insurance companies price each vehicle's coverage based upon how you use the vehicle. Cars and trucks left parked in the garage qualify for better rates than those used for commuting. Make sure your auto insurance policy is showing how each vehicle is driven.
Bump up deductibles to save - Physical damage insurance, termed comprehensive and collision coverage on your policy, protects your car from damage. Some instances where coverage would apply are running into the backend of another car, damage caused by hail, and windstorm damage. Deductibles for physical damage are the amount of money you are willing to pay before a claim is paid by your company. The higher the amount you are required to pay out-of-pocket, the less your company will charge you for insurance.
Don't let your coverage lapse - Letting your insurance expire is a guaranteed way to pay more for auto insurance. Not only will you pay more, but being ticketed for driving with no insurance will get you a revoked license or a big fine.

Are auto insurance companies telling the truth?

Companies like State Farm and Allstate constantly bombard you with ads on TV and radio. All the ads make an identical promise about savings if you switch to their company. How do they all say the same thing? This is how they do it.

All companies can use profiling for the driver that earns them a profit. For example, a preferred risk might be profiled as over the age of 50, is a homeowner, and drives less than 7,500 miles a year. A propective insured who meets those qualifications gets the lowest rates and most likely will cut their rates substantially.

Consumers who don't qualify for the "perfect" profile will be charged higher rates and ends up with business not being written. The ads say "drivers who switch" not "people who quote" save that much. That's why companies can truthfully advertise the way they do. That is why drivers should get quotes from several different companies. It's not possible to predict the company that will provide you with the cheapest rates.

Even more information can be found at the Pennsylvania Insurance Department website. Pennsylvania drivers can find out industry alerts, download brochures, and read consumer alerts.

The best insurance company isn't always the cheapest

In this article, we covered many tips how you can reduce auto insurance prices online. The key thing to remember is the more you quote, the better your chances of lowering your rates. Consumers could even find that the biggest savings come from a lesser-known regional company.

People switch companies for any number of reasons including poor customer service, extreme rates for teen drivers, policy non-renewal and even delays in responding to claim requests. No matter why you want to switch, switching auto insurance companies is less work than it seems.

When shopping online for auto insurance, you should never skimp on coverage in order to save money. There have been many cases where an accident victim reduced physical damage coverage only to regret at claim time that a couple dollars of savings turned into a financial nightmare. Your goal should be to purchase plenty of coverage for the lowest price, not the least amount of coverage.